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“The U.S. Small Business Administration defines a small business loan as a loan of $1 million or less. It calls a loan of less than $100,000 a “micro” loan. But most small businesses need far less than even a micro loan. Most businesses only need between $10,000 and $40,000 for new equipment, expansion and/or inventory. With their costly overhead, document-intensive processes and collateral requirements, loans that are small are a non-starter for banks.”
“It’s not surprising that small businesses have found another way: alternative finance and, more specifically, alternative finance delivered over the web.”
Says Stephen Sheinbaum, contributor to Entrepreneur, “Money Talks: Alternative Financing Might Be Right for Your Business.” Read more…